Brief: PostRock says on a preliminary basis 2015 capital budget set at $5.5 mln
05/02/2015 22:38
Feb 5 (Reuters) - PostRock Energy Corp PSTR.O : * Announces cost reductions, provides update and sets 2015 capex plan * Says on a preliminary basis the 2015 capital budget is set at $5.5 million, a reduction of over 80% from the prior year * Says 2014 production, at the realized 21:1 gas-to-oil economic equivalency, increased over 2% from the prior-year * Says company reduced its Oklahoma City headquarters staff by nearly 25% from 2014 levels * For 2015, approximately 73% and 28%, respectively, of the company's anticipated natural gas and oil production is hedged * Says cost reductions will result in annualized savings of approximately $2.2 million * Says hedges are in place through the end of 2016 * Additional cost reductions are being implemented * Says once plans are fully implemented, expect to reduce ongoing operating costs by nearly $4.0 million annually * Says at current prices,do not plan any drilling in 2015 * Source text for Eikon ID:nGNXVCRXNa * Further company coverage PSTR.O ((Bengaluru Newsroom; +1 646 223 8780))